Faith-Based Organizations

Introduction to the Relationship Model™
For Faith-Based Not-for-profit Organizations

In this introduction of the Relationship Model™ of governance, leadership and management of faith-based not for profit organizations we introduce the definition of working relationship and demonstrate the importance of applying power in the most productive and fulfilling manner by using power collaboratively, that is with affirmation, involvement and servant leadership. Then we give definition to the structure and processes and governance. The entire Model is summarized in ten principles to conclude the article.

RELATIONSHIPS – The Human Operating System

People live and work within relationships. Relationships are the human operating system. In order to make our lives and our work successful and fulfilling, we need to apply the natural principles of relationships by establishing the values, structures and the processes of relationships throughout our organization.

In the Relationship Model™ values, structure and processes form the basis of governance, leadership, management and service delivery. The roles of governance, leadership and management differ, but the principles that underlie them are the same. There is a continuity of design from (the organization)’s membership to the point where the clients receive the services.

A successful working environment is one in which there is a balance between the fulfillment of the individuals doing the work and the fulfillment of the people for whom the work is done. The organization itself is like the fulcrum of a seesaw that supports the dynamics of the process of maintaining this delicate and dynamic balance of fulfillment benefiting both staff and clients.

Putting emphasis on healthy relationships means investing a great deal of attention on the values, the structures and the processes that make up relationships. We have all observed that healthy and fulfilled men and women are more productive than unhealthy, dysfunctional people are.

Understanding how to build and maintain healthy working relationships is critical for successful management of human and financial resources. The basic design of relationships is disarmingly simple. Yet the application of these values, structures and processes is a lifelong experience, and a complex one at that. It is necessary to maintain a focus on the design of relationships in order to succeed at living out the Relationship Model™.

1 VALUES (The Way we Use Power)

Our values determine our behavior. In order to have an effective organization, all who work together must share the same values. When values are shared there is a built-in tendency to be able to work with the same operating system — within the same structure and with the same processes. There are many categories of values and many values in each category. The list of our values is as long as we want it to be. In the Relationship Model™ we have identified three core relationship-oriented values. Together they form the foundation of successful working relationships.

Affirmation

Affirmation is fundamental to healthy and productive relationships. Affirmation is the most elemental of all values. It encourages, builds, enables, empowers and ensures the fulfillment of each individual in (the organization). It encourages calculated risk. Affirmation enables mistakes to fuel a learning culture instead of a blame culture. Our affirmation of ourselves and others is the most significant factor influencing the structure and the processes of our relationships.

Involvement

The concept of involving people in the matters that affect them is a principle introduced by God at the time of creation. God chose to involve the first couple in the work of caring for the world into which God placed them. God also involved them in creation itself by giving them the authority and the responsibility to reproduce themselves. In the New Testament the Lord involved his disciples and each of us in the challenge of the Great Commission. Involvement produces a strong sense of ownership for those who have responsibility related to what they helped to shape and plan. This value sets the “hireling” apart from the real shepherd. The Good Shepherd believes in collaboration – and demonstrates it personally!

Servant Leadership

Servant leadership is a quality that characterizes those who are the source of authority to others in a relationship-oriented organization. Servant leadership includes such values as care, concern, valuing the worth of others, service and support. Servant leadership can be demonstrated by anyone who is in a position of authority in an organization. In any organization everyone has some authority. We often think of authority in a “top-down” manner. Our organizational charts, which place the “highest” level of authority at the “top”, suggest the opposite of the kind of authority that supports those above. A better organizational “chart” is the image of the tree where those with the most authority support those above.

2 STRUCTURE

Authority

Authority includes authorization, resources (human and financial resources, information and time) and competencies. As in a tree nutrients rise to nourish the entire tree and its fruit, authority flows upwards to the top of (the organization) to empower its people to produce services for the clients. Authority at any level in (the organization) is always limited by the person or group who is delegating authority to others.

Limitations of Authority

Limitations are the elements of a relationship that define the boundaries of authority and therefore the extent of our freedom in fulfilling our responsibility. Limitations are normally expressed in negative terms. In an organization defining limitations of authority eliminates the need for returning to the source of authority repeatedly for permission to act. Limitations may be adjusted to maintain a balance between authority and responsibility.

Responsibility

Responsibility is the broad description of the purpose for a position within (the organization). It is usually contained in the relationship description of an individual or a group. Healthy relationships always balance authority and responsibility. Responsibility is further defined by the expectations of the responsibility.

Expectations of Responsibility

Expectations are the adjusting components of responsibility. In a relationship-oriented organization expectations are negotiated, not imposed, in order to achieve a balance with the authorization and resources that are available. They are usually expressed in the form of goals, standards and specific tasks. Goals may be strategic or tactical. Standards may range from the minimum quality we expect of one another to the quality to which we aspire.

Accountability

Accountability is the monitoring and measuring component of a relationship. The first role of accountability is to monitor the balance of authority and responsibility in each relationship and to monitor compliance with limitations and expectations. The second role is to measure strategic and tactical results. The annual relationship review is the primary opportunity for accountability. Often given a negative connotation, accountability in The Relationship Model™ gives an opportunity for recognition and learning as well as correction. Accountability is a neutral process.

3 PROCESSES

Process is critical to the success of any group. The six core processes of governance are:

SUMMARY

The Relationship Model™ offers the most natural means of giving an effective design to a faith-based not-for-profit organization. No major paradigm shift is required. At the same time we will realize how important it is to use the conceptual framework that this model offers when we build a governance structure and when we process information.

Structure is the vehicle. Process is the journey. The way we use power reflects the quality of our driving.

The combination of values, structure and process may be synthesized into ten basic principles that define The Relationship Model™. Using these principles as a checklist can assist the Board to verify that the values, structures and processes used within (the organization) are consistent with the Relationship Model™. The checklist can also assist the Board to identify weaknesses and to give guidance toward making adjustments that will improve relationships and productivity.

TEN PRINCIPLES OF THE RELATIONSHIP MODEL™

1 The organization seeks a balance between the fulfillment of the needs of the clients and the personal fulfillment of the staff and volunteers.

2 The affirmation, involvement and servant leadership of every individual and group at every level in (the organization) are vital to the success of (the organization).

3 Authority, responsibility and accountability are the primary components of all relationships. Limitations of authority and expectations of responsibility are the secondary components.

4 Circles of authority and responsibility are defined clearly and are maintained equal in size by negotiating limitations of authority or by expectations of responsibility.

5 The Board of Directors, acting on information from all stakeholders, is responsible for strategic planning: defining beneficiaries, services/needs, vision, mission and priorities, monitoring performance and measuring results.

6 The CEO is responsible for managing the delivery of services to the clients in accord with Board-stated priorities and for achieving the strategic goals within the limitations of the authorization and resources available.

7 Each individual has a share in responsibility for creating, owning, understanding and implementing the mission of (the organization).

8 Decision-making proceeds from shared values, vision and mission, not unilaterally from the Board or the CEO. Decisions are made as close as possible to where they are implemented.

9 The organization is results oriented. Indicators of results are identified. Strategic and tactical goals are set in balance with available resources. Results are measured.

10 Accountability is mutual. The source of authority is accountable to the recipient for providing adequate authorization and resources. The recipient is accountable to the source for achieving results.

Testimonial

Governance Matters Book Review & Testimonial

I was introduced to your book, Governance Matters, in 2011 by Dr. Jason Ferenczi, who wrote his doctoral dissertation on “Governance in International Theological Education” under my direction at Columbia International University. While there is no dearth of professional literature on organizational governance, Dr. Ferenczi noted that your book is unique in its approach to the topic from a distinctively Christian perspective.

Since 2004, I have been involved in the ministry of Global Associates for Transformational Education (GATE, see: www.GATEglobal.org). In my role as a senior associate of GATE, I have recommended The Relationship Model to theological faculties in the Philippines, India, Kenya, Ethiopia, Togo, and Ecuador. Last July, I also used Governance Matters as a textbook for a Doctor of Education course at Columbia International University on “Leadership and Governance in Higher Education.” Students enrolled in the course are engaged in ministries in Sri Lanka, Chad, Sr. Vincent, Korea, and China, as well as in the United States. They reported your book was the key text (among five) in shaping their thinking about governance and administration in Christian higher education. Thank you for your work and for sharing your thinking on governance theory from a Christian perspective.

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Our Vision

Our Vision is to see the global community of churches and not-for-profit organizations realize success in their ministry and fulfillment for their staff and volunteers through collaborative governance, leadership, and management.

Our Mission

Our Mission is to enable the boards of not-for-profit organizations and churches worldwide to strengthen their structures and processes of governance, leadership and management with the Relationship Model™.